Agility: Improving Lebanese Businesses with their Distribution and Warehousing Services

Interview with Raymond Rizk, CEO of Agility

What is the outlook for the logistics sector for the emerging market in Lebanon?

The basic principal of any emerging market is that it is enthusiastic about continuous development. As a company, be it locally or regionally, we definitely look into it and we are very much interested in it. There is always some continuous growth or some development. Emerging markets are definitely looking into the infrastructure, be it in power plants, roads, trains, subways and so on. Thus, as a company, we are always interested in it and we focus on that.

What are your thoughts on your future in the global logistics sector? Do you think you can see more competitors in the future? What are your views on new competitors, new companies?

We always have our eyes on new competitors in the market, especially in emerging markets, because new opportunities create business for everybody. Of course, there are always mergers and acquisitions. There is always something going on in the region where they are much more aggressive than on the local level. As a logistics company in Lebanon, we are a bit more advanced than all the other companies or all the global companies that exist in Lebanon, because we are the only asset-based company here. Not only as logistics or for freight forwarding only, we offer all services from end-to-end. So, basically we can ship the cargo for any client from all over the world, we can custom-clear it, put it in our warehouse and make the deliveries. Currently we have a bit more than 400 employees, including the permanent employees, part-time workers (such as daily workers) and yearly contractors. So all of them included, we make up a bit more than 400.

Could you mention some of your clients?

We can name the top 20 traders in Lebanon. 80% of them are our clients, if not all of them.

How do you define the challenges faced in your line of business?

Most of the challenges are basically external. There are very few minor internal challenges faced by us. We can say that the number one external challenge always prevalent in this type of country is the unrest and the instability of the country, be it economically or politically. To handle such problems, it is important to continuously develop the business more, to fine-tune the service level that we provide to the market and the commitment that we show to the market, be it through a major investment or a minor one. And there is always the regular organic growth, plus the development that we promote and the investment that we make even in such a country, which we definitely rate as a high risk.

Which markets in Lebanon generate the greatest demand for shipment needs? What are some of the most common export destinations?
 
As you may know, Lebanon is mainly an import-oriented country. So, basically the focus is on Asia, mainly China, and of course definitely Europe. Those are the main continents / countries we look at for importing. Of course, we should not forget about the United States. But these are the main volume that we look at and the countries we focus on. In addition, 10% of our importing and exporting business focuses mainly on GCC and Africa. This may be canned food, or food or fresh vegetables and some other garments manufactured in the country. 

Which sectors in Lebanon generates the greatest demands for shipments?

Various sectors, actually. We don’t focus exclusively on only one or two sectors. We diversify greatly. We have a combination of sectors.

What are some of the opportunities for international investors?

There are always opportunities. Recently, we have been in the process of making some kind of a distribution center in Lebanon for the Levant at least and for the neighboring countries, but because of the recent unrest and the political situation, it has been postponed a little bit. It will probably take another year, but there is always some or the other investment that investors can make in the country, because real estate is always an open business. There has been more contribution in this area from the other countries. At least this is our assessment of the last couple of years.

What are the advantages of using Lebanon as a distribution center or hub? What makes it more distinctive?

The Levant area is more distinctive; the transit time and the service provided are much more effective. But I don’t see Lebanon as the DC for the rest or for the GCC. Honestly, there have been a lot of talks about it, but it won’t work. For the Levant, yes of course, definitely.

Is there anything else you want to mention about Agility? Is there any new event coming up?

Something important to note is that despite the current situation, we have signed a contract for a major investment for a new warehouse – in addition to the 8 warehouses that we currently own and that are currently operating. Basically it should be operational in 4 months from today. It is a state-of-the-art warehouse, 17 meters high. Some new advanced equipment and some additional high tech application will be involved here. It’s new in the market for the Lebanese traders.

I wish you the best of luck with that. Could you elaborate on some of the Corporate Social Responsibility activities that you are engaged in?

The CSR activities we undertake socially is something we do together. We don’t only do it to help the community that we operate in as a global company, but as well as Agility, Lebanon. We contribute to the environment to promote more greenery. We have recently planted more than 500 trees. It is not a one-off thing. We do it once or twice every year. We have cleaned some beaches in Lebanon with the help of other organizations as well, we made fund raising for St Joude / the Children Cancer Center  and we help some other communities in the country.

Is there anything else you would like to comment about the company, your strategies, and your services?

Nothing very specific, actually, but I would like to comment on how we differentiate ourselves as Agility, Lebanon from other logistics companies. We do provide personal service to the client. We can offer many services to our clients. So, a company can approach us today and start his business tomorrow. If he is dealing with us, he can immediately start his business, without having to go and purchase trucks for his local distribution or having to buy a warehouse. So, he can immediately establish his business on-the-go, starting from the second day.

FAIR USE POLICY
This material (including media content) may not be published, broadcasted, rewritten, or redistributed. However, linking directly to the page (including the source, i.e. Marcopolis.net) is permitted and encouraged.